Activists, lawmakers write to PM over MGNREGA fund crunch

Nearly 90 lawmakers, several prominent civil society members, activists and leaders of farmers' movements have written to Prime Minister Narendra Modi raising concerns over fund crunch in rural employment scheme MGNREGA.

The letter, which has 250 signatories, urged the prime minister to work for strengthening of the scheme on a priority basis and "formally include it as part of the set of measures being considered to deal with the current rural and agrarian crisis".

On January 1, over 99 per cent fund of the Mahatma Gandhi National Rural Employment Guarantee Act or MGNREGA scheme was reportedly exhausted, three months before the end of the financial year.

"Despite repeated public statements by your government promising employment and job creation that will boost the country's growth, we are alarmed to note that the country's only employment guarantee is being systematically undermined," the letter read.

"Illegal restrictions on its budget allocation, severe payment delays and low wages are crippling the program and depriving people in distress of one of their most important legally supported structures," it added.

A statement issued on Monday by the lawmakers and the activists said the fund crunch came amid a situation of distress across rural India with "massive unemployment, declining farm incomes and rising inequality".